Lucent Reports Slight Fall in Quarterly Profits
Lucent Technologies has reported for the fourth quarter and fiscal year 2006, a net income of US$371 million, compared to US$372 million in the year-ago quarter. Revenues reached US$2.56 billion in the quarter, an increase of 25% sequentially and an increase of 5% from the year-ago quarter.
The fourth quarter's earnings per share included a positive impact of US$73 million, for discrete tax items and the reversal of U.S. deferred taxes. In the year-ago quarter, earnings per share included a positive impact of US$128 million, primarily due to income tax items.
"We are pleased to have ended what's been a challenging year with a strong quarter. As anticipated, we posted our highest quarterly revenue period for the year, driven primarily by mobility deployments in North America, and we recorded a gross margin of 44 percent," said Lucent Technologies Chairman and CEO Patricia Russo.
On September 7, 2006, shareholders of Alcatel and Lucent approved the proposed merger agreement. The companies continue to believe they are on track to complete their merger transaction by the end of calendar year 2006.
"With another key milestone behind us following the successful shareholder votes, we are moving closer to the integration of our two companies. We continue to make excellent progress on our integration planning to ensure a smooth transition from Day 1," said Russo. "We look forward to the successful closure of the merger transaction."
Posted to the site on 25th October 2006
